2015 (10) TMI 783 - AT - Service Tax

Waiver of Service Tax Appellant agrees with the liability of service tax; disposed certain amount further agreeing to pay the balance due in time Held That - Appellant is required to deposit the amount as directed and on compliance of the same balance due would stand waived and recovery stayed Decided in favour of the Revenue.

Summary

Issues: Application for waiver of Service Tax and penalties under Sections 77 and 78 of the Finance Act, 1992.

Analysis:
- The judgment was delivered by Dr. D.M. Misra, Judicial Member, and Shri H.K. Thakur, Technical Member of the Appellate Tribunal CESTAT KOLKATA. The respondent was represented by Sri A. Roy, Supdt. (A.R.), while no one appeared for the petitioner despite notice receipt.
- The application sought waiver of Service Tax amounting to Rs. 4.22 Crores and penalties of Rs. 3.39 Crores under Sections 77 and 78 of the Finance Act, 1992. The appellant had admitted a liability of Rs. 1,89,53,155/- and paid Rs. 98,95,127/-, with the Ld. Commissioner appropriating Rs. 82.94 Lakhs and interest of Rs. 5.93 Lakhs.
- The Ld. A.R. for the Revenue acknowledged that against the admitted liability of Rs. 1.89 Crores, approximately Rs. 89.00 Lakhs had been deposited, with the balance to be paid by the applicant. Considering this, the tribunal directed the applicant to deposit Rs. 1.00 Crore within eight weeks from the order's communication, with compliance to be reported by 30th November, 2015.
- Upon compliance with the deposit, the balance dues adjudged would be waived, and recovery stayed during the appeal's pendency. Failure to deposit the specified amount would result in the dismissal of the appeal without further notice.